If you find yourself among the 44% of Americans who care for aging parents as well as children under the age of 21, you're among one of the most responsible generations America has ever seen! According to a Country Insurance & Financial Services survey, more than 60% of parents plan to pay for the bulk of their kids' college costs. A Pew Research Center Report from two years ago even found that two-thirds of Americans consider it a parental responsibility to provide for their child's education.

But many advisors want you to know that you don't need to do it all. In fact, many investment advisors agree that your number-one financial priority needs to be you… and only you. (Yes, you heard me correctly!)

Many of you might have seen Ann Kates Smith's article earlier this year in Kiplinger, where she tells readers to not even think about funding college for their kids at the expense of their retirement. I couldn't agree more.

Why? Well, a recent analysis by T.Rowe Price shows that diverting half of your potential retirement savings for 18 years could reduce your retirement accounts by as much as 35%. Ouch. That just hurts.

She goes on to say, that yes—in a pinch—you can tap into your retirement accounts to help with the cost of college by borrowing against your 401(k) or withdrawing your contributions to your Roth IRA. In fact, you can even get penalty-free access to the earnings on your Roth if you use the money for college expenses (remember: you'll still have to pay taxes).

But is it worth it? Let's look at the numbers.

These days, 60% of college students pay less than $6,000 per year for tuition and fees, and frankly your children have the rest of their lives to repay their student loans and deduct the interest on their taxes while your retirement is quite honestly, right around the corner.

The bottom line: You need the money more than they do! So, before you go tapping into your hard-earned retirement dollars, investigate scholarships, financial aid and student loan programs for your kids first and foremost. Here are a few to get you started:

• FastWeb.com to find more than 1.3 million scholarship opportunities from across the country
• Collegeboard.com to find local and national financial aid programs.

For those of you out there who are saving for retirement but also want to help out with your child's education (in part or in whole), look into investing in state-sponsored 529 plans. These investments provide shelter from federal and state income taxes and do little damage to your chances of receiving additional financial aid. And, if your child takes a pass on higher education, you can transfer the funds to another family member. Unlike other education savings programs, 529s let families participate regardless of income, and states set a high ceiling on contributions.

Keep an eye out for the next issue of the Confident Investor where we examine the different types of 529 College Savings Plans. You won't want to miss it!

Time to Ramp up Retirement Savings

There is some good news for those of us who find ourselves smack dab in the middle of the Sandwich Generation: We're in our peak earning years. Yes, the good news is that we are making more money than ever before. Now is the time to ramp up our retirement savings.

Right now, I want to let you know about a special invitation I received recently from Louis Navellier, one of the nation's premier stock analysts. His recommendations in the Blue Chip Growth Letter have returned over 216% since 1998, according to The Hulbert Financial Digest, an independent tracker of investment newsletters. 

For a limited time, he is inviting Confident Investor readers to join his exclusive Retirement Club. Take a moment and click here to check it out. I'm recommending it because Louis Navellier doesn't chase hot stocks. In fact, the #1 rule of his Retirement Club is to invest in financially solid companies with long histories of million-dollar retirement wealth. Louis is offering Confident Investor readers exclusive access to his Retirement Club profits for a limited time! Don't miss out on this special offer!